Increasingly, marketing is occurring virally, particularly via the Internet, mobile and other evolving media, through word-of-mouth (“WOM”), including by means of the use of product sampling and consumer reviews, comments and recommendations.
The FTC's New Endorsement Guides
The FTC's new guidance makes it clear that companies that are involved in encouraging a message about their products or services in non-traditional media, such that they are essentially sponsoring the messages, even if by consumers or celebrities, will be responsible as the advertiser for the message. Although the FTC acknowledges the limited ability in social and other evolving media to clear and control these types of messages, it places the burden of the risk on both the sponsor and the speaker.
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Alan L. FrielThis premium content is locked for LawJournalNewsletters subscribers only
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